Helix Exploration (AIM:HEX) has commenced re-entry operations at the Inez #1 well, in Montana, with the rig on site and crews actively working to clear the wellbore and prepare the Souris River interval for production.
The helium exploration and development firm said bringing Inez #1 on stream will meaningfully add to its growing production base and follows an offtake arrangement covering 100% of deliverable volumes.
"Production is our objective - and what we will deliver as we continue to grow our asset base and strengthen our offtake arrangements," said Bo Sears, Chief Executive Officer.
The operation follows a planned fishing run to retrieve lodged downhole equipment; if successful Helix may core a hydrogen-bearing interval that has attracted interest from the Chimaera Fund and the United States Air Force, and if not the company will leave the equipment in place and re-perforate the Souris River to pursue first gas.
Helix has four production wells at Rudyard targeting up to 236ft of helium/nitrogen gas, has reported flows to date up to 3,800 Mcf/day at 1.2% helium, and previously modelled potential net revenue of $115–$220m over a 12.5-year field life.
The company said it will perforate the Souris River interval in the coming days.
